Why « chicken »? – Because I was so tempted to open a FTSE short at the end of last week, but the scars of past failures are still haunting me ! So now I am enjoying one of the many “if only” situations as the FTSE falls beautifully – 25 points since I dithered about opening the positon on Thursday at around 5920. As I write this it is at 5895. That would be £50 at the minimum punt of £2/pt!

One of the other things that put me off the deal, as well being chicken, was the fact that IG Index were offering a spread on their Daily Funded Bet of about a point or so – this being “spread” around the actual FTSE value – as confirmed elsewhere. While for their December 2012 bet the spread they offered was not only larger – that’s normal enough, but the buy and sell prices offered were BOTH well below the actual value. Obviously it’s up to them what they propose and to us to accept or decline, but it is a reminder that they, the spread betting firm, control these values and as I was contemplating a short the idea of opening a sell position well below the actual value is not temping as you suspect that by the time you want to close it the buy and sell prices offered will be probably both ABOVE the actual value.

I have profited substantially trading shares in Dialight (DIA) and noticed that they have dropped a bit recently – blips like this (?) are quite common when you look at their history so I felt quite confident about jumping in to buy more shares and setting a spread limit order to open a buy position at 1153p. This triggered at 1152.5 and is showing a profit of £9.65. (£1/pt, Stop 1127, no limit yet set)

Kentz is strugling along, losing a bit one day, not showing much profit the next!

Will I short the FTSE?

 

Current profit/loss £-102.50